Business management involves coordinating activities of various departments of an organization. Functional managers take decisions and implement them through the network of employees. As early as 300BC, Chanakya, famous minister of Chandragupta Empire, wrote Arthashasthra; the bible of management in which he mentioned various techniques, strategies and management theories. Business management helps the organization satisfy a particular need of a customer and thereby make money when the customer pays for the services.
Effective business management is the core of any successful business enterprise. The process involves several interlinked functions by which the enterprise objectives are accomplished. These functions include ensuring the product or service is delivered to the discerning customer; to promote and market the product or service; and to efficiently manage the available finances and above all take steps to protect the intellectual property rights along with many other issues.
Management is the act of getting people together to accomplish the desired goals and objectives of the enterprise. It is the process of using the available resources, with the help of skilled human resource, in the most efficient manner. The process consists of Planning, Organizing, Staffing, Directing, and Controlling the functioning of an organization. For efficient business management an organization should have managers. These managers should posses certain important skills :-
- Human skills are the ability to seek co-operation of other members in the team as well as in the organization and the ability to work with others without any ego issues.
- Technical skills are the knowledge and capacity in using machinery, process and technique involved in carrying out the task on hand.
- Conceptual skills consist of the capacity to view the entire organization and the inter relationship between the groups in the firm. This helps in viewing the environment in the context of the problem faced and to take appropriate decisions.
Levels of Management
Broadly business management is classified into three levels. Top level management consists of Board of Directors, Chairman, CEO and such other personnel. This level is responsible for taking long range decisions, frame objectives, goals, and policies. This is also responsible for mobilizing the required resources. Middle level management consists of General Managers and various functional managers. This level is accountable to the top management in their functional area. They are responsible for implementing the policies and to execute the plans. Lower level management includes supervisors, foremen and such other positions. Their main job is of directing and controlling. They are responsible for day to day functioning of the organization.